Tag: united states

Consumers are still wary of mobile payments

| March 23, 2015

Report shows that consumers may not be ready to embrace mobile payments at this time

Many consumer still have reservations about mobile payments, according to a new report from Walker Sands. The report shows that mobile payments are becoming more popular, but either out of 10 consumers still have doubts about the sector. Much of this doubt is centered on security. Mobile payments platforms are not typically considered the most secure option when it comes to commerce, which is why consumers, in general, tend to avoid using their mobile devices to pay for products.

Many people prefer cash, but want to make use of a digital payment platform that offers them good features

The report shows that cash remains the most favored way for consumers in the United States to pay for products, but it is on the decline. According to the report, 59% of consumers carry less than $20 on their person. Many consumers noted that they were waiting for a secure mobile payments platform, saying that they would use such a platform if it existed. Approximately 4% of consumers said that they used Apple Pay, though 18% said that the launch of the new platform made them more interested in mobile payments.

Peer-to-peer services are becoming more popular among young consumers

Mobile Payments - consumer uncertaintyThere is also increasing demand for peer-to-peer payment services. The report shows that nearly 50% of those between the ages of 18 and 25 want to use services that allow them to send money to their friends and colleagues. Such services could become more popular if they can offer these consumers a convenient experience.

Loyalty to singular platforms remains quite low among consumers

Notably, consumers have not yet expressed loyalty for a singular mobile payments platform. Instead, consumers are likely to move from one platform to the next in order to find features that they enjoy. While some payment platforms, such as Apple Pay, have managed to acquire a great deal of support, these platforms have not found mainstream success, as consumers are less inclined to use one platform over another for any significant period of time.

Consumers still wary of mobile commerce

| March 19, 2015

Consumers are not completely comfortable with mobile payments yet

Consumers may be somewhat uneasy about making a mobile purchase, according to a recent survey from Baird Equity Research. Though mobile commerce has been gaining more attention, consumers still prefer to use more conventional forms of commerce when making purchases, especially in physical stores. Consumers may still be wary of the security issues that exist in the mobile commerce space, though many people have been growing more comfortable with the concept of making purchases with a mobile device.

Young consumers seem to be the most comfortable with the idea of mobile commerce and shopping online with smartphones

According to the survey from Baird Equity Research, four in 10 consumers in the United States have participated in mobile commerce. Approximately 10% of consumers said that they make an in-store purchase with their smartphones at least once a month. Three in 10 consumers said that they make a mobile payment online once a month or less. Those between the ages of 18 and 24 are the most likely to participate in mobile commerce as they are the demographic most comfortable with mobile technology.

Many people are concerned about security and lack of retail support

Consumers wary about mobile commerceThe majority of consumers are not convinced that mobile payments are better than more conventional forms of commerce. Using a credit or debit card or paying with cash is often considered simpler. Cash is also considered a safer way to pay for products by consumers that are not interested in mobile commerce. Some consumers do not participate in mobile commerce because retailers do not support in-store mobile payments, while others are concerned about their financial information being stolen and exploited by malicious groups.

Mobile payments will continue to grow in the future

Mobile payments are expected to gain more momentum in the coming years. New services are being released regularly and these platforms are becoming more secure. Retailers are also showing more support for the mobile space, where they see a great many opportunities to engage consumers that are eager to shop for and purchase products with their mobile devices.